Borders receives acquisition bid, according to report
Ann Arbor-based Borders Group Inc. has received at least one acquisition bid, according to a report today by trade journal Publishers Weekly.
Borders employs fewer than 400 workers at its Ann Arbor headquarters on Phoenix Drive.
Melanie Maxwell | AnnArbor.com
"Speculation is that the attorneys were updating the judge on whether any bids for the company were made on Friday," Publishers Weekly reported.
A Borders spokeswoman declined to comment on the report. The company, which employs fewer than 400 workers in Ann Arbor, filed for bankruptcy protection in February.
A bid for Borders could come from any number of places, including another bookstore chain, a private equity firm with a tolerance for a restructuring effort, another corporation or even a liquidator.
It's altogether unclear whether a suitor for Borders would seek to close more stores than the 230 locations the company is already shuttering and whether the company would maintain its corporate headquarters in Ann Arbor.
An acquisition bid would have to be approved by the bankruptcy court.
In a similar recent case, bankrupt video rental chain Blockbuster was sold to satellite TV company Dish Network.
Mike Edwards, CEO of Borders Group subsidiary Borders Inc., told AnnArbor.com in an interview last week that the company is trying to convince publishers to agree to new terms on book shipments. He said that's the linchpin that would allow the company to propose its official reorganization plan and exit bankruptcy court by September.
Contact AnnArbor.com's Nathan Bomey at (734) 623-2587 or nathanbomey@annarbor.com. You can also follow him on Twitter or subscribe to AnnArbor.com's newsletters.
Comments
15crown00
Sat, May 14, 2011 : 9:22 p.m.
sell and leave.Bye Bye
LarryJ
Thu, May 12, 2011 : 4:27 p.m.
Not one word of the a2.com story nor in the linked report supports the title of the article. Nathan, are you leading your readers on a wild goose chase?
Ed Kimball
Thu, May 12, 2011 : 1:09 p.m.
This seems like a lot of paragraphs committed to something that is clearly labeled "speculation"!
runbum03
Wed, May 11, 2011 : 9:08 p.m.
Paul: Ebooks are still no more than 8% - 10% of the market. Booksellers around the US are just having a hard time right now.
Paul
Wed, May 11, 2011 : 8:06 p.m.
I hate to say it, but stick a fork in them.. Just like blockbuster, they made poor business decisions, and didn't keep up with the changing times (where's the ebooks). So if they were to come out of bankruptcy, all they would due is screw their creditors, and try to play catch up until they have to file for Chapter 13 a year down the road.